Abstract
This paper empirically examines the mediating role of shopping satisfaction between electronic logistics service quality (e-LSQ) and repurchase intention. Further, this paper investigates the moderating role of gender, payment options, and returns or replacement experience on the link between e-LSQ and shopping satisfaction (and repurchase intention). Empirical data comprising 640 Indian online shoppers are analyzed with covariance-based structural equation modeling. The findings indicated that the condition of the shipment is the most crucial e-LSQ dimension and its linkage with shopping satisfaction varies across payment options, gender, and returning experience. The poor condition of the shipment might have triggered the returns in e-tailing in the Indian context. The findings will help e-tail managers design a robust logistics network to retain and win despondent customers.
1. Introduction
E-tailing has evolved through the offering of more standardized products, wider product varieties, fulfillment quality, preferred delivery time slots, order accuracy, free shipping, discounts, cash-on-delivery payment option, easy return and exchange policies. Logistics is often a differentiator and competitive advantage in e-tailing companies (Nguyen et al., 2019; Tang and Veelenturf, 2019). Booming e-tailing has also triggered growth in the e-tail logistics sector in India. In 2018, the industry was valued at $ 1.45 billion and was expected to grow at 36 percent in the next three years (KPMG, 2018). However, lack of logistics infrastructure and the poor e-fulfillment services pose challenges for logistics service providers (LSPs) in India (KPMG, 2018). Poor logistics infrastructure not only increases the delivery time but also damages the products during shipment. Logistics transactions of e-tailing are often outsourced, usually performed by third-party logistics (3 PL) (Rabinovich et al., 2007). Some e-tailers have developed their in-house captive logistics in addition to 3 PL.
6. Limitations, future research directions, and conclusion
First, this study lacked generalizability as the data was collected from Central India, and the sample was skewed towards youth. Second, this study considered products from the product categories of consumer electronics, apparel, and books. Future studies shall develop product category-specific frameworks to gain deeper insights into relationships. Third, this study focused on the ‘pain of paying’ concept to analyze the role of payment options; however, future research can analyze how payment options can generate trust in e-tailing. Fourth, this study didn’t differentiate returns or product exchanges. Further, a longitudinal study shall be carried out to strengthen the findings.
